Financials Lead the Dow's Jump Today

The Dow Jones is up as Putin appears to ease tensions in Ukraine.

May 7, 2014 at 1:31PM
Longview

Visa (NYSE:V) is helping to push the Dow Jones Industrial Average (DJINDICES:^DJI) higher after Russian President Vladimir Putin took steps to ease tensions in Ukraine. As of 1:20 p.m. EDT the Dow was up 100 points to 16,501. The S&P 500 (SNPINDEX:^GSPC) was up 6 points to 1,873.

Today Russia moved troops away from the border in Ukraine. President Putin also said that Russian separatists in eastern Ukraine should postpone this Sunday's referendum on independence from Ukraine. Further, Putin called the May 25th presidential election "a movement in the right direction" and agreed to a proposal by Germany Chancellor Angel Merkel to start roundtable talks between Kiev and the separatists. However, The Washington Post interviewed a Pentagon spokesman who, when asked about Russia's presence on the Ukrainian border, replied, "We've seen no change." We will have to wait and see what happens.

Visa is one of the Dow's top stocks today, up 1.1% because the Russian president's moves, if real, decrease the chance of further sanctions on Russia. Visa has over 100 million cards in Russia and could be disallowed from working with certain Russian banks if they were the target of sanctions. Both Visa and MasterCard (NYSE:MA) highlighted Russia on their earnings calls as something that could hurt the companies' performance. Roughly 2% of MasterCard's revenue came from Russia in the most recent quarter, while Visa counts on Russia for 3% to 4% of its revenue. Both payment processors temporarily had to stop working with SMP Bank, as its owners are both sanctioned by the U.S. government.

In response to the sanctions, President Putin ordered the government to begin work on building a new payment network to be owned by the government. New laws are also in the works to require payment companies to house all Russian data in Russia, pay fees for any discontinuations of service, and meet new collateral requirements. It remains to be seen whether Russia can pass all of these laws or implement a nationalized payment network. But of the two major U.S. payment-processors, Visa has the most to lose if the situation in Russia gets worse.

6 stock picks poised for incredible growth
They said it couldn't be done. But David Gardner has proved them wrong time, and time, and time again with stock returns like 926%, 2,239%, and 4,371%. In fact, just recently one of his favorite stocks became a 100-bagger. And he's ready to do it again. You can uncover his scientific approach to crushing the market and his carefully chosen six picks for ultimate growth instantly, because he's making this premium report free for you today. Click here now for access.

Dan Dzombak can be found on Twitter @DanDzombak. He has no position in any stocks mentioned. The Motley Fool recommends MasterCard and Visa. The Motley Fool owns shares of MasterCard and Visa. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.

 


Compare Brokers